Tuesday, July 17, 2007

Reverse Psychology

From the Palm Beach Post, we have Builders huddle on slack sales.

Getting back to Ara Hovnanian, we see him at every major home building industry event.

"Raise prices," he said. "Buyers aren't buying because they think you're going to lower prices again. There's interest but there's fear. Raise prices 3-4 percent. And quit giving discounts.''


Supply has overwhelmed demand. In fact, it has overwhelmed "projected" demand for the next 15 odd years in Florida, and the solution is to raise prices?

You go right ahead and do that, sparky! We'll check back after a year to see how that works out for you.

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